Accountant for agriculture and the Agri-Food industry

Running a farm in Quebec means receiving most of your income over a few weeks, during harvest or when selling livestock, while expenses continue to accrue year-round. Between assessing livestock, financing quotas, depreciating machinery, and reporting on La Financière agricole programs, the accounting for an agricultural or agri-food operation is unlike any other. You need an accountant who speaks your language: cash basis accounting, AgriStability margins, AGR-1 forms, and agricultural property tax credits.

Find the ideal accountant for your industry, one who truly understands agriculture and the agri-food sector. We’ll connect you with the right accountant for this sector, for free, as many times as needed, and we’ll stay by your side from the first meeting all the way through the farm transfer. No obligation.

• Dealing with extreme seasonality: income comes in at harvest time or when livestock is sold, but expenses occur year-round, requiring tight management of cash flow and credit lines.
• Valuing a living inventory: livestock, field crops, forage, and inputs, with inventory adjustments specific to the cash method.
• Financing major capital expenditures, land, machinery, buildings, and drainage, at a time when the price of farmland in Quebec continues to rise.
• Managing supply-side quota systems (milk, eggs, poultry): an asset to be financed and depreciated (category 14.1), with the milk quota capped at $24,000 per kilogram of milk fat.
• Maximize agricultural programs: AgriStability, AgriInvest, ASRA, and La Financière agricole’s crop insurance, all of which require rigorous margin reporting.
• Operating with slim and volatile profit margins, at the mercy of the weather, global prices, and interest rates.
• Preparing to transfer the farm to the next generation: tax rollover to children and a lifetime capital gains exemption of more than $1.25 million on eligible farm property.

• Agricultural tax return on the federal T2042 form (cash basis allowed), harmonized with your filings for Agri programs.
• GST (5%) and QST (9.975%): Most agricultural products are zero-rated, so registration is still worthwhile even if you’re below the $30,000 small supplier threshold, in order to claim your ITCs and ITR credits on inputs.
• Source deductions (DAS) on farm employees and temporary foreign workers: T4, RL-1 slips, and CNESST contributions.
• Forms AGR-1 and Statement 21 for agricultural support payments (AgriStability, ASRA, and others), which must be correctly reported as income.
• Capitalization allowance (CCA) on machinery, buildings, and quotas; deductible land clearing and drainage costs.
• Limited agricultural losses, capped at $17,500 per year, if farming is not your primary source of income.
• Incorporated farm: T2 federal tax return and CO-17 in Quebec, with access to the small business deduction; registration of the farm with MAPAQ for the agricultural property tax credit.

Can I use cash basis accounting for my farm? Yes, agriculture is one of the few sectors where the CRA and Revenu Québec allow the cash method: you report income when it’s received and expenses when they’re paid. An agricultural accountant can confirm that this method works to your advantage, apply the mandatory inventory adjustment when necessary, and prepare the transition to the accrual method if your farm becomes a corporation.

Do agricultural programs complicate my bookkeeping? They add margin statements, AGR-1 forms, and Form 21 statements, along with deadlines to meet, but an accountant familiar with La Financière agricole will integrate them into your accounting routine. Well-maintained books can even help you maximize your payments. We’ll connect you with the right accountant for this sector, as often as needed, at no cost.

How much does an accountant cost in this sector? According to the Bankeo Fee BarometerBased on 1,248 real-world cases (2024-2026), the median fee for an accountant in Quebec is around $3,000 per year, ranging from $500 to $6,000 depending on the industry and complexity of the work. The Bankeo matching service is free: you pay your accountant directly at standard market rates.

How can I switch accounting firms for my farm without any stress? We take care of everything, so you don’t have to worry about the transition. We’ll connect you with an accountant who specializes in agriculture, for free, and the transfer of your records (T2042 forms, agricultural tax returns, inventories) will go smoothly, often taking place between farming seasons so as not to disrupt your operations. And if it doesn’t work out, we’ll find you another accountant at no cost.

Is it better to have a local or remote accountant for a farm? What matters is that they understand the realities of farming in Quebec: cash basis accounting, quotas, and programs offered by La Financière agricole. An accountant in your region often has a better understanding of your operations and can visit the farm, but many excellent agricultural accountants work very effectively remotely using cloud-based tools. We’ll match you with an accountant based on your preferences, for as long as you need.

How do I plan to transfer my farm to the next generation? This is one of the most important and sensitive issues in agriculture. A good accountant structures the tax rollover to children, plans for the lifetime capital gains exemption of more than $1.25 million on eligible farm assets, and spreads it out over several years to reduce the tax bill. We’ll introduce you to an accountant who has experience facilitating farm transfers, and we’ll stay by your side throughout the entire process.